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Departmental Agencies Expenditure

Dáil Éireann Debate, Tuesday - 27 November 2012

Tuesday, 27 November 2012

Questions (342)

Dara Calleary

Question:

342. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the action he and the agencies under the remit of his Department are taking to ensure that the shift in the technology market away from PCs towards mobile devices has no adverse effect on employment here; and if he will make a statement on the matter. [52543/12]

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Written answers

Ireland is recognised internationally as an excellent ICT business location. There are almost 97,000 people employed in ICT firms in Ireland. Of these, almost 74,000 are employed in ICT companies that are clients of Enterprise Ireland, IDA Ireland, Shannon Development and Údarás na Gaeltachta. These client companies exported goods and services to the value of almost €50 billion in 2010, representing 30% of national exports.

In terms of attracting foreign direct investment (FDI), the ICT sector is one of the country’s leading sectors and continues to be an active source of investment and employment. 9 of the top 10 US ICT companies and 9 of the top 10 global software companies have a presence in this country.

The Government’s 2012 Action Plan for Jobs identified the ICT sector as having potential for further significant growth in job creation. The Action Plan, with its focus on, amongst other things, cloud computing, digital games, ICT skills enhancement and broadband connectivity enhancement, will play an important role in helping win new international investment and job creation. Research Prioritisation in future networks and communications, data analytics, digital platforms and applications, and in enabling technologies such as nanotechnology, microelectronics, photonics and software engineering will also have a role in job creation and new investment.

Both the Jobs Action Plan and Research Prioritisation Strategy will ensure that our country fully capitalises on the shift in technologies in the ICT sector, including the growth in mobile devices and will assist PC companies to adapt to changing technologies in the sector.

The Action Plan for Jobs outlines a range of short, medium and long term measures to develop a sustainable domestic supply of high quality ICT graduates to support the further expansion and development of the ICT sector. It also identifies a number of other challenges that must be addressed in order for Ireland to realise the potential for future growth in the ICT sector:

- Maintaining cost competitiveness in the midst of intensifying competition globally, especially in manufacturing, vis-à-vis low cost economies where more mature sectoral activities continue to be outsourced.

- The need to ensure ongoing availability of competitively priced high speed broadband networks.

- The limited scope for software SME’s to engage in public procurement initiatives from which strong reference clients and partnerships can emerge.

- Supporting and fostering digital innovations and the emergence of digital start- up companies.

These challenges are being addressed by a number of Departments and Agencies in the context of implementing the 2012 Action Plan for Jobs. A report outlining progress made in this regard will be published shortly.

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